Aplia Homework Assignments for ECON 2302

Aplia Homework Assignments

 

Week 1 (01.17.06-01.22.06)  

None. 

Week 2 (01.23.06-01.29.06)  

  1. Introductory Practice Problem Set 
    How to use online problems in practice mode.
    Problem Set
    Due by: Su, 01.29.06  11:00PM
    6 Points/Practice  

  2. Introductory Graded Problem Set 
    How to use online problems in graded mode.
    Problem Set
    Due by: Su, 01.29.06 
    11:00PM
    4 Points/Graded  

  3. Numerical Calculations Tutorial and Exercises 
    Includes an animated tutorial followed by problems to teach the basics of performing numerical calculations. Concepts covered include: fractions, percentages, percentage change, and percentage points.
    Problem Set
    Due by: Su, 01.29.06
    11:15PM
    25 Points/Practice  

  4. Numerical Calculations Tutorial and Exercises 
    Includes an animated tutorial followed by problems to teach the basics of performing numerical calculations. Concepts covered include: fractions, percentages, percentage change, and percentage points. 
    Problem Set
    Due by: Su, 01.29.06 11:15PM
    25 Points/Graded  

  5. Graph Tutorial and Exercises 
    Includes an animated tutorial followed by problems to teach the basics of interpreting and building graphs. Concepts covered include: axes, labels, units, scale, data, different scales, broken axes, and qualitative graphs. 
    Problem Set
    Due by: Su, 01.29.06 11:30PM
    32 Points/Practice  

  6. Graph Tutorial and Exercises 
    Includes an animated tutorial followed by problems to teach the basics of interpreting and building graphs. Concepts covered include: axes, labels, units, scale, data, different scales, broken axes, and qualitative graphs. 
    Problem Set
    Due by: Su, 01.29.0911:30PM
    32 Points/Graded  

  7. Slope Tutorial and Exercises 
    Includes an animated tutorial followed by problems to teach the basics of understanding slopes. Concepts covered include: how to calculate the slope of lines and curves, tangents, the relationship between slope and changes in the height of a curve, how slope relates to the maximum and minimum of a curve. 
    Problem Set
    Due by: Su, 01.29.0611:45PM
    15 Points/Practice  

  8. Slope Tutorial and Exercises 
    Includes an animated tutorial followed by problems to teach the basics of understanding slopes. Concepts covered include: how to calculate the slope of lines and curves, tangents, the relationship between slope and changes in the height of a curve, how slope relates to the maximum and minimum of a curve. 
    Problem Set
    Due by: Su, 01.29.06 11:45PM
    15 Points/Graded  

  9. Marginal Costs and Marginal Benefits I 
    Builds skills in understanding decision-making on the margin, decreasing marginal benefit (willingness to pay), and increasing marginal cost. Prepares students for the accompanying graded Problem Set.
    Problem Set
    Due by: Su, 01.29.06 11:45PM
    22 Points/Practice  

  10. Marginal Costs and Marginal Benefits II 
    Tests understanding of marginal analysis, including the choices of rational consumers and the concepts of diminishing marginal benefit and increasing marginal cost. 
    Problem Set
    Due by: Su, 01.29.06 11:45PM
    19 Points/Graded  

  11. Thinking on the Margin: Smallpox Vaccinations 
    Compares the costs and benefits of a smallpox vaccine in light of recent terrorist threats. Recognizes that the costs and benefits of the vaccine vary across individuals, based on health, likely exposure to smallpox, and other factors, so that the appropriate decision involves the extent to which the population is vaccinated and not whether to vaccinate everyone or no one.
    News Analysis
    Due by: Su, 01.29.06 11:45PM
    4 Points/Graded  

Week 3 (01.30.06-02.05.06)  

  1. Introduction to the Production Possibilities Frontier 
    Combines explanation and problems to teach the production possibilities model, including the concepts of efficiency, attainable and unattainable output, opportunity cost, and shifts in production possibilities. 
    Problem Set
    Due by: Su, 02.05.06 11:00PM
    22 Points/Practice  

  2. Production Possibilities I 
    Introduces straight line and curve production possibilities curves or frontiers and the concept of opportunity cost.
    Problem Set
    Due by: Su, 02.05.0611:00PM
    21 Points/Practice  
  3. Production Possibilities I 
    Introduces straight line and curve production possibilities curves or frontiers and the concept of opportunity cost.
    Problem Set
    Due by: Su, 02.05.06 11:00PM
    21 Points/Graded  
  4. Production Possibilities II 
    Applies the concepts of production possibilities curves or frontiers and opportunity cost introduced in Production Possibilities I. You can refer to the first Problem Set if you have difficulty doing this Problem Set.
    Problem Set
    Due by: Su, 02.05.06 11:00PM
    19 Points/Graded  

  5. Habit or Prices? 
    Addresses the importance of price and opportunity cost vs. habit in explaining why Americans prefer traditional, top-loading washing machines to the new, front-loading machines popular in Europe.
    News Analysis
    Due by: Su, 02.05.06 11:00PM
    3 Points/Graded  

  6. Increased Fuel Economy Sought 
    Incorporates tradeoffs, opportunity cost, and production possibilities frontiers to analyze the economic consequences of higher fuel-economy standards for automobiles.
    News Analysis
    Due by: Su, 02.05.06 11:00PM
    4 Points/Graded  

  7. Introduction to Comparative Advantage 
    Combines explanation and problems to teach the theory of comparative advantage and the concept of gains from trade.
    Problem Set
    Due by: Su, 02.05.06 11:15PM
    16 Points/Practice  
  8. Introduction to Comparative Advantage 
    Combines explanation and problems to teach the theory of comparative advantage and the concept of gains from trade.
    Problem Set
    Due by: Su, 02.05.06 11:15PM
    16 Points/Graded  
  9. Gains from Trade I 
    Constructing and interpreting a production possibilities frontier, comparative and absolute advantage, gains from trade.
    Problem Set
    Due by: Su, 02.05.06 11:15PM
    14 Points/Practice  
  10. Gains from Trade I 
    Constructing and interpreting a production possibilities frontier, comparative and absolute advantage, gains from trade.
    Problem Set
    Due by: Su, 02.05.06 11:15PM
    14 Points/Graded   
  11. Gains from Trade II 
    Applies concepts related to gains from trade including opportunity costs, production possibilities frontiers, absolute and comparative advantage, specialization.
    Problem Set
    Due by: Su, 02.05.06 11:15PM
    29 Points/Graded  

  12. International Trade 
    Tests understanding of international trade, including comparative advantage, supply and demand of imports and exports, and trade barriers.
    Problem Set
    Due by: Su, 02.05.06 11:15PM
    11 Points/Graded  

  13. Winners and Losers from Trade 
    International trade creates many winners and some losers. Sometimes, a few losers in rich countries try to stop trade that would make winners of workers in very poor countries.
    News Analysis
    Due by: Su, 02.05.06 11:15PM
    6 Points/Graded  

  14. Objections to Proposed Limits on Steel Imports 
    Early in 2002, firms in the steel industry asked President Bush to protect them from foreign competition, but firms and workers in other industries objected. Consumers should have protested too.
    News Analysis
    Due by: Su, 02.05.06 11:15PM
    3 Points/Graded  

  15. Introduction to Demand 
    Combines explanations and problems to teach concepts related to demand, including willingness to pay, law of demand, and shifts in demand. Provides an animation that sorts people by willingness to pay to derive a demand curve and then asks students to plot a demand curve from raw data. 
    Problem Set
    Due by: Su, 02.05.06 11:15PM
    14 Points/Practice  

  16. Introduction to Demand 
    Combines explanations and problems to teach concepts related to demand, including willingness to pay, law of demand, and shifts in demand. Provides an animation that sorts people by willingness to pay to derive a demand curve and then asks students to plot a demand curve from raw data. 
    Problem Set
    Due by: Su, 02.05.06 11:15PM
    14 Points/Graded  

  17. Principles of Demand I 
    Builds skills in understanding the factors that shift demand curves or change the quantity demanded. Coverage includes normal goods, substitutes and complements, aggregating demand across individuals, and plotting demand curves. Prepares students for the accompanying graded Problem Set.
    Problem Set
    Due by: Su, 02.05.06 11:30PM
    10 Points/Practice  

  18. Principles of Demand II 
    Assesses understanding of demand curves and schedules and of the factors that shift demand. Assign as a graded Problem Set.
    Problem Set
    Due by: Su, 02.05.06 11:30PM
    10 Points/Graded  

  19. Changes in Demand I 
    Contrasts a shift in demand with a movement along the demand curve. Topics include law of demand, substitutes and complements, and normal and inferior goods. Prepares students for the accompanying graded Problem Set.
    Problem Set
    Due by: Su, 02.05.06 11:30PM
    11 Points/Practice  

  20. Changes in Demand II 
    Applies the concepts and definitions presented in Changes in Demand I. Asks students to shift demand curves or to move a point along them. Assign as a graded Problem Set.
    Problem Set
    Due by: Su, 02.05.06 11:30PM
    15 Points/Graded  

  21. Introduction to Supply 
    Combines explanations and problems to teach concepts related to supply, including reservation price, law of supply, and shifts in supply. Provides an animation that sorts people by reservation price to derive a supply curve and then asks students to plot a supply curve from raw data. 
    Problem Set
    Due by: Su, 02.05.06 11:30PM
    12 Points/Practice  

  22. Introduction to Supply 
    Combines explanations and problems to teach concepts related to supply, including reservation price, law of supply, and shifts in supply. Provides an animation that sorts people by reservation price to derive a supply curve and then asks students to plot a supply curve from raw data. 
    Problem Set
    Due by: Su, 02.05.06 11:30PM
    12 Points/Graded  

  23. Principles of Supply I 
    Builds skills in understanding the factors that shift supply curves or change the quantity supplied. Prepares students for the accompanying graded Problem Set.
    Problem Set
    Due by: Su, 02.05.06 11:30PM
    12 Points/Practice  

  24. Principles of Supply II 
    Assesses understanding of supply curves and schedules and of the factors that shift supply. 
    Problem Set
    Due by: Su, 02.05.06 11:30PM
    12 Points/Graded  

  25. Falling Oil Prices on the Eve of War with Iraq 
    Considers the effect of war in reducing oil exports from Iraq and the offsetting effect of increases in oil from other sources, including strategic petroleum reserves. Provides a recent history of oil exports and prices, including a 20% reduction in oil prices the week before the war started.
    News Analysis
    Due by: Su, 02.05.06 11:45PM
    5 Points/Graded  

  26. Introduction to Market Equilibrium 
    Integrates explanations and problems to teach about equilibrium price and quantity. Combines willingness to pay and reservation price to illustrate graphically the quantities demanded and supplied at each price and to show why free markets move to equilibrium. Explains shortages and surpluses and the pressure each exerts on price as well as how price ceilings and price floors may impede movement to equilibrium. Works through the effect of a tax in leading to a new equilibrium. 
    Problem Set
    Due by: Su, 02.05.06 11:45PM
    15 Points/Practice  

  27. Introduction to Market Equilibrium 
    Integrates explanations and problems to teach about equilibrium price and quantity. Combines willingness to pay and reservation price to illustrate graphically the quantities demanded and supplied at each price and to show why free markets move to equilibrium. Explains shortages and surpluses and the pressure each exerts on price as well as how price ceilings and price floors may impede movement to equilibrium. Works through the effect of a tax in leading to a new equilibrium. 
    Problem Set
    Due by: Su, 02.05.06 11:45PM
    15 Points/Graded  

  28. Principles of Equilibrium I 
    Builds skills in understanding equilibrium price and output, shortages and surpluses, and the effects of supply and demand shifts as well as inferring whether a new equilibrium results from a change in supply or demand or both. Prepares students for the accompanying graded Problem Set.
    Problem Set
    Due by: Su, 02.05.06 11:45PM
    14 Points/Practice  

  29. Principles of Equilibrium II 
    Assesses understanding of equilibrium and disequilibrium and of adjustments from one equilibrium to another. 
    Problem Set
    Due by: Su, 02.05.06 11:45PM
    14 Points/Graded  

  30. Housing 1: Review of Supply and Demand 
    Considers supply and demand, equilibrium, and price elasticity of demand in the context of the home-building industry. Topics include price adjustments in response to shortages and surpluses and the effects of supply and demand shifts on equilibrium price and quantity. This is one of five Problem Sets (Housing 1-5) to use this housing example.
    Problem Set
    Due by: Su, 02.05.06 11:45PM
    19 Points/Graded  

  31. The Market for Organs 
    Examines economic and ethical issues related to a market for human organs. Government legislation bans the sale of organs for transplants, meaning that the market is not allowed to eliminate the organ shortage. Is legislation to provide donors a tax credit an appropriate solution to the shortage?
    News Analysis
    Due by: Su, 02.05.06 11:45PM
    4 Points/Graded  

  32. Should the FAA Use Price to Reduce Congestion? 
    Considers whether airport takeoff fees should be raised during peak hours to reduce congestion and flight delays. Uses the tools of supply and demand to examine the effect of charging different fees at different hours of the day.
    News Analysis
    Due by: Su, 02.05.06 11:45PM
    5 Points/Graded  

  33. Supply and Demand I 
    Some of the these questions were compiled from Changes in Demand I, Principles of Supply I, and Principles of Equilibrium I. Covers both sliding along and shifting of demand and supply curves as well as equilibrium determination of market-clearing price and quantity. Prepares students for the accompanying graded Problem Set.
    Problem Set
    Due by: Su, 02.05.06 11:45PM
    24 Points/Practice  

  34. Supply and Demand II 
    Some of the these questions were compiled from Changes in Demand II and Principles of Equilibrium II. Covers both sliding along and shifting of demand and supply curves as well as equilibrium determination of market-clearing price and quantity. 
    Problem Set
    Due by: Su, 02.05.06 11:45PM
    22 Points/Graded  
  35. Price and Quantity of Used Textbooks 
    Reinforces the experiment's main lessons about how equilibrium price and quantity are determined. Asks students to identify shortages and surpluses, to predict the quantity exchanged and price, and to analyze the effect of increased demand.
    Problem Set
    Due by: Su, 02.05.06 11:15PM
    12 Points/Graded  
  36. Gains From Trading Textbooks 
    Considers the gains from trade of individual buyers and sellers and illustrates the idea that competition maximizes the aggregate gain for society.
    Problem Set
    Due by: Su, 02.05.06 11:15PM
    11 Points/Graded
Week 4 (02.06.06-02.12.06)  
  1. Preparing for the Equilibrium Price and Quantity Experiment 
    Prepares students for the Equilibrium Price and Quantity experiment. 
    Problem Set
    Sunday, 02.12.06 11:00PM
    Not offered
  2. Equilibrium Price and Quantity: Experiment 
    Assigns students the role of buyer or seller so that they can trade with their classmates in an online experiment involving used textbooks.
    Experiment not offered


  3. Equilibrium Price and Quantity: Analysis 
    Analyzes results of the Equilibrium Price and Quantity experiment. Re-interprets the experiment in terms of supply and demand to predict price and quantity and to calculate the gains from trade. Includes answers to questions that participants often have about what happened in the experiment. 
    Reading
    Due by: Su, 02.12.06  11:00PM
  4. Losses from Price Controls 
    Shows how price controls affect the trading gains of buyers and sellers while creating shortages or surpluses.
    Problem Set
    Due by: Su, 02.12.06 11:00PM
    17 Points/Graded

  5. Efficiency I 
    Builds skills in understanding consumer and producer surplus and deadweight loss. Includes an analysis of per-unit taxes. Prepares students for the accompanying graded problem set.
    Problem Set
    Due by: Su, 02.12.06 11:00PM
    9 Points/Practice

  6. Efficiency II 
    Builds skills in understanding consumer and producer surplus and deadweight loss. Includes an analysis of per-unit taxes. 
    Problem Set
    Due by: Su, 02.12.06 11:00PM
    9 Points/Graded

  7. Efficiency 
    Graphical and algebraic measures of consumer and producer surplus.
    Problem Set
    Su, 02.12.06 11:00PM
    17 Points /Graded

  8. Effects of Price Controls on Equilibrium Quantities I 
    Builds skills in understanding the consequences of price ceilings and price floors. Compares equilibrium price and quantity with price and quantity outcomes when controls are binding. Also considers when price controls have no effect. Prepares students for the accompanying graded problem set.
    Problem Set
    Due by: Su,02.12.06 11:15PM
    11 Points/Practice

  9. Effects of Price Controls on Equilibrium Quantities II 
    Builds skills in understanding the consequences of price ceilings and price floors. Compares equilibrium price and quantity with price and quantity outcomes when controls are binding. Also considers when price controls have no effect. 
    Problem Set
    Due by: Su, 02.12.06 11:15PM
    10 Points/Graded

  10. Price Controls 
    Effects of price floors and ceilings on price and quantity; shortage and surplus; binding or not.
    Problem Set
    Due by: Su, 01.12.06 11:30PM
    17 Points/Graded

  11. Analyzing Price Ceilings and Floors 
    Discusses and assesses understanding of the effect price controls have on equilibrium price and quantity. 
    Problem Set
    Due by: Su, 02.12.06 11:30PM
    17/Graded

  12. Rent Control: Preventing Capitalistic Acts between Consenting Adults 
    Rent control is the economist's classic example of what happens when governments prevent capitalistic acts between consenting adults. Good intentions, providing affordable housing to working families, produce bad results: decreased supply of rent-controlled apartments, increased prices for non-rent-controlled housing, and the creation of a bureaucracy to prevent free trade between willing adults.
    News Analysis
    Due by: Su, 02.12.06 11:30PM
    14 Points/Graded

  13. Tax Systems I 
    Introduces concepts related to tax systems, including federal receipts, marginal and average tax rates, taxes and efficiency, and taxes and equity.
    Problem Set
    Due by: Su, 02.12.06 11:45PM
    20/Graded

  14. Tax Systems II 
    Applies concepts related to tax systems, including taxes and GDP, marginal and average tax rates, types of systems, taxes and efficiency, and taxes and equity.
    Problem Set
    Due by: Su, 02.12.06 11:45PM
    22 Points/Graded

  15. Taxes on Buyers and Sellers 
    Tests understanding of the main lessons about the effects of taxes on prices, quantity, and gains for buyers and sellers.
    Problem Set
    Due by: Su,02.12.06 11:45PM
    13 Points/Graded

Week 5: (02.13.06-02.19.06)

  1. Preparing for the Price Ceilings and Price Floors Experiment 
    Shows students how to trade in the subsequent experiment on price controls.
    Problem Set
    Due by: Su, 02.19.06 9:00PM
    4 Points/Graded

  2. Price Ceilings and Floors: Experiment 
    Assigns students the role of buyer or seller so that they can trade in an online experiment involving used textbooks in the presence of price controls. The experiment has two variations: price ceilings and price floors.
    Experiment
    Not offered
  3. Price Ceilings and Floors: Analysis 
    Analyzes results of the experiment involving price controls. Considers the consequences of controlling energy prices in California and supporting prices of agricultural commodities. Asks why governments continue to control prices. Students should read this after the experiment has been completed.
    Reading
    Not offered
  4. Gasoline Shortages in Iraq 
    Uses gasoline shortages in Iraq to show the effects of price controls. 
    News Analysis 
    Due by: Su, 02.19.06
    11:00PM 
    9/Graded
  5. Price Elasticity 
    Calculating and applying the concept of elasticity.
    Problem Set
    Due by: Su, 02.19.06
    11:45PM
    24/Practice  
  6. Price Elasticity 
    Calculating and applying the concept of elasticity.
    Problem Set
    Due by: Su,02.19.06
    11:45PM
    24/Graded  
  7. Calculating the Elasticity of Demand for Car Trips in Central London 
    In February of 2003, London imposed a fee designed to reduce traffic congestion. Drivers entering central London must now pay a fee to do so. To predict the magnitude of the decrease in congestion or the increase in fee revenues caused by any change in the fee, London officials need a numerical estimate of the elasticity of the demand for car trips in the central city.
    News Analysis
    Due by: Su, 02.19.06
    11:45PM
    9/Graded  
  8. Price Elasticity of Demand 
    The World Health Organization claims that millions of lives could be saved if countries increased cigarette taxes by 10%.
    News Analysis
    Due by: Su, 02.19.06
    11:45PM
    5/Graded  
  9. Do Cheap U.S. Corn Exports Impoverish Mexico's Farmers? 
    Do cheap, subsidized U.S. corn exports impoverish Mexico's farmers? The article gives two simple, but opposing, answers to this question. The article does not provide enough information to choose between the two opposing answers. But we can use economics to examine the arguments offered in support of each answer.
    News Analysis
    Due by: Su, 02.19.06
    11:45PM
    9/Graded  
  10. Price, Cross, and Income Elasticities 
    Price elasticity, together with cross-price and income elasticity.
    Problem Set
    Due by: Su,02.19.06
    11:45PM
    22/Practice  
  11. Price, Cross, and Income Elasticities 
    Price elasticity, together with cross-price and income elasticity.
    Problem Set
    Due by: Su,02.19.06
    11:45PM
    22/Graded  

Week 6: (02.20.06-02.26.06)
  1. Budget Line I 
    Builds skills in understanding spending constraints, constructing and interpreting budget lines, and showing the effect of a change in price or income. Prepares students for the accompanying graded Problem Set.
    Problem Set
    Due by: Su, 02.26.06
    11:45PM
    18/Practice  
  2. Budget Line I 
    Introduces the concept of a budget line and shows how income and prices affect its position.
    Problem Set
    Due by: Su, 02.26.06
    11:45PM
    18/Graded  
  3. Budget Line II 
    Applies the concepts of a budget line and the effects of income and prices introduced in Budget Line I. You can refer to the first Problem Set if you have difficulty doing this Problem Set.
    Problem Set
    Due by: Su, 02.26.06
    11:45PM
    18/Graded  
  4. Utility and Indifference I 
    Presents indifference curves graphically and mathematically, shows how to solve for utility and measure the marginal rate of substitution, interprets budget lines, integrates budget lines and indifference curves to derive utility maximization, illustrates indifference curves for goods that are perfect substitutes or perfect complements.
    Problem Set
    Due by: Su, 02.26.06
    11:45PM
    22/Practice  
  5. Utility and Indifference I 
    Presents indifference curves graphically and mathematically, shows how to solve for utility and measure the marginal rate of substitution, interprets budget lines, integrates budget lines and indifference curves to derive utility maximization, illustrates indifference curves for goods that are perfect substitutes or perfect complements. 
    Problem Set
    Due by: Su, 02.26.06
    11:45PM
    22/Graded  
  6. Utility and Indifference II 
    Tests understanding of the concepts of preference and utility, budget line, and utility maximization.
    Problem Set
    Due by: Su, 02.26.06
    11:45PM
    24/Graded  

Week 7: (02.27.06-03.05.06)
  1. Production and Costs I 
    Introduces total, average, and marginal costs and relates them to the production function for a firm. Also covers economic profit, fixed vs. variable costs, diminishing returns, and long-run cost curves (including economies/diseconomies of scale). Prepares students for the accompanying graded Problem Set.
    Problem Set
    Due by: Su, 03.05.06
    11:30PM
    13/Practice  
  2. Production and Costs I 
    Introduces total, average, and marginal costs and relates them to the production function for a firm. Also covers economic profit, fixed vs. variable costs, diminishing returns, and long-run cost curves (including economies/diseconomies of scale). 
    Problem Set
    Due by: Su, 03.05.06
    11:30PM
    13/Graded  
  3. Production and Costs II 
    Tests understanding of short-run and long-run costs, production functions, and economic profit. Assign as a graded Problem Set.
    Problem Set
    Due by: Su, 03.05.06
    11:30PM
    13/Graded  
  4. Housing 1: Review of Supply and Demand 
    Considers supply and demand, equilibrium, and price elasticity of demand in the context of the home-building industry. Topics include price adjustments in response to shortages and surpluses and the effects of supply and demand shifts on equilibrium price and quantity. This is one of five Problem Sets (Housing 1-5) to use this housing example.
    Problem Set
    Due by: Su, 03.05.06
    11:30PM
    19/Graded  
  5. Housing 2: Cost Curves 
    Illustrates the relationship between the production function and costs for a home-construction firm. Reinforces the concepts of average fixed cost, average variable cost, and marginal cost while emphasizing the importance of implicit as well as explicit costs. This is one of five Problem Sets (Housing 1-5) to use this housing example.
    Problem Set
    Due by: Su, 03.05.06
    11:30PM
    23/Practice 
  6. Housing 2: Cost Curves 
    Illustrates the relationship between the production function and costs for a home-construction firm. Reinforces the concepts of average fixed cost, average variable cost, and marginal cost while emphasizing the importance of implicit as well as explicit costs. This is one of five Problem Sets (Housing 1-5) to use this housing example.
    Problem Set
    Due by: Su, 03.05.06
    11:45PM
    23/Graded  
  7. Housing 3: Short-Run Costs and Equilibrium 
    Uses the example of a construction company operating in a perfectly competitive market. Examines unit costs, marginal revenue, and profit; considers the optimal level of output and whether or not the firm should produce in the short run. This is one of five Problem Sets (Housing 1-5) to use this housing example.
    Problem Set
    Due by: Su, 03.05.06
    11:45PM
    12/Graded  

Week 8 (03.06.06-03.12.06)

  1. Perfect Competition I 
    Builds skills in understanding the model of perfect competition. Studies the firm as price taker, production decisions in the short run and long run, profit, entry and exit, and equilibrium for the industry. 
    Problem Set
    Due by Su,03.12.06, 11:30PM
    16 Points/Practice
  2. Perfect Competition I 
    Builds skills in understanding the model of perfect competition. Studies the firm as price taker, production decisions in the short run and long run, profit, entry and exit, and equilibrium for the industry. 
    Problem Set
    Due by Su, 03.12.06, 11:30PM
    21 Points/Graded
  3. Perfect Competition II 
    Assesses understanding of the concepts introduced in Perfect Competition I. 
    Problem Set
    Due by Su, 03.12.06, 11:30PM
    22 Points/Graded  
  4. Housing 4: Short-Run Adjustments and Long-Run Equilibrium 
    Explores the short-run consequences of changes in fixed costs and market demand; examines long-run expansion and contraction in a perfectly competitive industry. This is one of five problem sets (Housing 1-5) to use this housing example.
    Problem Set
    Due by Su,03.12.06, 11:45PM
    17 Points/Graded  
  5. Housing 5: Effect of Increased Worker Productivity 
    Illustrates how increased worker productivity affects a company's costs, production, and profit in the short run and industry size and output in the long run. This is one of five problem sets (Housing 1-5) to use this housing example.
    Problem Set
    Due by Su, 03.12.06, 11:45PM
    12 Points/Graded  
  6. Branding Beef 
    Considers whether ranchers in Oregon can differentiate their product in order to charge higher prices and earn greater profit.
    News Analysis
    Due by Su, 03.12.06, 11:45PM
    4 Points/Graded  

Week 9 (03.20.06-03.26.06)
  1. Principles of Monopoly I 
    Definition of monopoly and contrast with perfect competition. Calculating profit maximizing quantity, both graphically and algebraically.
    Problem Set
    Due by Su, 03.26.06, 11:30PM
    11 Points/Practice  
  2. Principles of Monopoly II 
    Applies the concepts of monopoly introduced in Principles of Monopoly I. You can refer to the first problem set if you have difficulty doing this problem set.
    Problem Set
    Due by Su, 03.26.06, 11:30PM
    17 Points/Graded  
  3. Graphical Analysis of Monopoly 
    Offers practice in interpreting monopoly pricing graphs.
    Problem Set
    Due by Su, 03.26.06, 11:30PM
    20 Points/Practice  
  4. Graphical Analysis of Monopoly 
    Offers students practice in interpreting graphs on monopoly. Includes questions on cost curves, marginal revenue, monopoly price, profit, deadweight loss, and natural monopoly.
    Problem Set
    Due by Su, 03.26.06, 11:30PM
    22 Points/Graded  
  5. Should Monopolists Cut Their Prices When Demand Falls? 
    Shows students that the optimal price for a monopolist need not fall when demand falls. Requires only familiarity with demand curve. Does not require any prior exposure to monopoly pricing. Does not use a marginal revenue curve.
    News Analysis
    Due by Su, 03.26.06, 11:30PM
    4 Points/Graded  
  6. Introduction to Basic Price Discrimination 
    Combines explanation and problems to teach basic price discrimination, including its definition, the conditions needed for its success, perfect sorting, and group pricing.
    Problem Set
    Due by Su, 03.26.06, 11:45PM
    16 Points/Practice  
  7. Introduction to Basic Price Discrimination 
    Combines explanation and problems to teach about differential pricing. Lists the conditions necessary for price discrimination; shows the effect of price discrimination on consumer and producer surplus; provides examples and analysis of price discrimination with a focus on perfect price discrimination and group pricing.
    Problem Set
    Due by Su, 03.26.06, 11:45PM
    16 Points/Graded  
  8. Price Discrimination I 
    Builds skills in understanding price discrimination, including its definition, what constitutes price discrimination, market segmentation, and profit maximization.
    Problem Set
    Due by Su,03.26.06, 11:45PM
    10 Points/Practice  
  9. Price Discrimination II 
    Tests understanding of price discrimination, including its definition, what constitutes price discrimination, market segmentation, and profit maximization.
    Problem Set
    Due by Su, 03.26.06, 11:45PM
    10 Points/Graded  
  10. Is Financial Aid Price Discrimination? 
    What do you call charging different customers different prices for the same product produced at the same costs? Economics students know the answer: price discrimination. Colleges use a different term: financial aid.
    News Analysis
    Due by Su, 03.26.06, 11:45PM
    7 Points/Graded  
  11. Regulation I 
    Introduces concepts related to regulation, including regulation of a natural monopoly, economic and social regulation, and deregulation.
    Problem Set
    Due by Su, 03.26.06, 11:45PM
    16 Points/Practice  
  12. Regulation I 
    Introduces concepts related to regulation, including regulation of a natural monopoly, economic and social regulation, and deregulation.
    Problem Set
    Due by Su, 03.26.06, 11:45PM
    16 Points/Graded  
  13. Regulation II 
    Tests understanding of concepts related to regulation, including regulation of a natural monopoly, economic and social regulation, and deregulation.
    Problem Set
    Due by Su, 03.26.06, 11:45PM
    13 Points/Graded  
  14. Satellite Television: Merger Grounded 
    What's a quick way to gain market share and eliminate competition? Buy your rival. EchoStar Communication, the second largest firm in the rapidly growing satellite-television industry, pursued this strategy, winning a bidding war for its bigger rival, DirecTV. But a Justice Department lawsuit grounded the deal because it would have greatly decreased competition.
    News Analysis
    Due by Su, 03.26.06, 11:45PM
    6 Points/Graded  
  15. Introduction to Advanced Price Discrimination 
    Combines explanation and problems to provide further analysis of price discrimination. Covers two-part tariffs, incremental discounts, incremental markups, volume discounts, and menu pricing (pure and mixed bundling). Assign this set after students have completed the "Introduction to Basic Price Discrimination" problem set.
    Problem Set
    Due by Su, 03.26.06, 11:45PM
    17 Points/Practice  
  16. Introduction to Advanced Price Discrimination 
    Combines explanation and problems to provide further analysis of price discrimination. Covers two-part tariffs, incremental discounts, incremental markups, volume discounts, and menu pricing (pure and mixed bundling). Assign this set after students have completed the "Introduction to Basic Price Discrimination" problem set.
    Problem Set
    Due by Su, 03.26.06, 11:45PM
    17 Points/Graded  

Week 10 (03.27.06-04.02.06)
  1. Oligopoly and Imperfect Competition I 
    General questions about collusion and market structure.
    Problem Set
    Due by Su, 04.02.06, 11:00PM
    7 Points/Practice  
  2. Oligopoly and Imperfect Competition I 
    General questions about collusion and market structure.
    Problem Set
    Due by Su, 04.02.06, 11:00PM
    7 Points/Graded   
  3. Oligopoly and Imperfect Competition II 
    Collusion and imperfect competition, including numerical examples.
    Problem Set
    Due by Su, 04.02.06, 11:00PM
    12 Points/Graded  
  4. Sticky Prices in the Adhesive Label Industry 
    Most of the printing stock for adhesive labels is supplied by only a few firms, and the Antitrust Division of the U.S. Department of Justice is worried that prices, perhaps already too high from collusion, will go higher if a proposed merger further reduces competition. This news analysis uses the Herfindahl-Hirschman Index to calculate the level of concentration in the adhesive labels industry.
    News Analysis
    Due by Su, 04.02.06, 11:00PM
    6 Points/Graded  
  5. Introduction to Basic Game Theory 
    Combines explanation and problems to teach basic game theory, including the components of a game, dominant strategy, and the prisoner's dilemma.
    Problem Set
    Due by Su, 04.02.06, 11:15PM
    13 Points/Practice  
  6. Introduction to Basic Game Theory 
    Combines explanation and problems to teach basic game theory, including the components of a game, dominant strategy, and the prisoner's dilemma.
    Problem Set
    Due by Su, 04.02.06, 11:15PM
    13 Points/Graded  
  7. Game Theory and Strategic Interaction I 
    Shows how to calculate the equilibrium in a simple duopoly game and how to use a dominant strategy to find an equilibrium.
    Problem Set
    Due by Su, 04.02.06, 11:15PM
    8 Points/Practice  
  8. Game Theory and Strategic Interaction II 
    Finding equilibria in a duopoly game and other strategic settings.
    Problem Set
    Due by Su, 04.02.06, 11:15PM
    9 Points/Graded  
  9. Introduction to Advanced Games 
    Combines explanation and problems to teach further concepts in game theory, including Nash equilibrium, dynamic games, and leader-follower games. Assign this set after students have completed the "Introduction to Basic Game Theory" problem set.
    Problem Set
    Due by Su, 04.02.06, 11:15PM
    13 Points/Practice  
  10. Introduction to Advanced Games 
    Combines explanation and problems to teach further concepts in game theory, including Nash equilibrium, dynamic games, and leader-follower games. Assign this set after students have completed the "Introduction to Basic Game Theory" problem set.
    Problem Set
    Due by Su, 04.02.06, 11:15PM
    13 Points/Graded  
  11. Monopolistic Competition I 
    Illustrates the implications of the free entry condition in monopolistic competition.
    Problem Set
    Due by Su, 04.02.06, 11:30PM
    8 Points/Practice  
  12. Monopolistic Competition II 
    Graphical analysis of market power with free entry.
    Problem Set
    Due by Su, 04.02.06, 11:30PM
    10 Points/Graded  

Week 11 (04.03.06-04.09.06)

  1. Labor I 
    Builds skills in understanding labor markets. Topics include labor supply and demand, profit-maximizing employment, human capital, economic rent, minimum wages, immigration, occupational crowding, unions, and employment taxes/subsidies. Prepares students for the accompanying graded problem set.
    Problem Set
    Due by Su, 04.09.06, 11:45PM
    22 Points/Practice  
  2. Labor I 
    Builds skills in understanding labor markets. Topics include labor supply and demand, profit-maximizing employment, human capital, economic rent, minimum wages, immigration, occupational crowding, unions, and employment taxes/subsidies. Prepares students for the accompanying graded problem set.
    Problem Set
    Due by Su, 04.09.06, 11:45PM
    22 Points/Graded  
  3. Labor II 
    Assesses understanding of labor markets, including shifts in supply and demand and wage differentials. Assign as a graded problem set.
    Problem Set
    Due by Su, 04.09.06, 11:45PM
    29 Points/Graded  


Week 12 (04.10.06-04-16.06)

  1. Preparing for the Taxes and Welfare Experiment 
    Prepares students for trading in the experiment with the same name. 
    Author: Nicholas Smith Problem Set 
    Problem Set
    Due by Su,04-16.06, 9:00PM
    4 Points/Graded  
  2. Taxes and Welfare: Experiment 
    Adds taxes to the basic supply and demand experiment involving used books. Taxes are levied on either the buyer or the seller, depending on the version of the experiment. 
    Author: Paul Romer
    Experiment
    Su, 04-16.06, 9:00PM
    Experiment Points: 50 points  
  3. Taxes and Welfare: Analysis 
    Analysis of the results from the Taxes and Welfare experiment. 
    Author: Paul Romer
    Reading

Week 13 (04.17.06-04.23.06)
  1. Preparing for the Market for Lemons Experiment
    Prepares students for the Market for Lemons experiment. Provides trading tips and explains the four variations of the experiment: full information, hidden information, consumer protection laws, and product warranties. Assign as a graded problem set with a due date prior to the start of the experiment.
    Problem Set
    Not offered
  2. A Market for Lemons: Experiment
    Assigns students the role of buyer or seller so that they can trade with their classmates in an online experiment involving low- and high-quality MP3 players.
    Experiment
    Not offered
  3. A Market for Lemons: Analysis 
    Analyzes results from the Market for Lemons experiment. Discusses asymmetric information, naïve versus pessimistic beliefs of buyers, market failure, adverse selection, and the role of consumer protection laws and warranties. Students should read this after the experiment has been completed.
    Reading
    Sunday,04.23.06, 11:30PM
    0  Points
  4. Analyzing a Market for Lemons 
    Reinforces concepts learned in the Market for Lemons experiment. Includes equilibrium price and quantity, the size of the total surplus, and its distribution between buyers and sellers under the different variations of the experiment.
    Problem Set
    Due by Su, 04.23.06, 11:30PM
    21 Points/Graded  
  5. Public Goods I 
    Covers social and private benefit, free riding, taxes that avoid inefficiency. Prepares students for the accompanying graded problem set.
    Problem Set
    Due by Su,04.23.06, 11:45PM
    23 Points/Practice  
  6. Public Goods 
    Social and private benefit, free riding, taxes that avoid inefficiency
    Problem Set
    Due by Su, 04.23.06, 11:45PM
    23 Points/Graded  
  7. Public Goods II 
    Assesses understanding of social and private benefit, free riding, and taxes that avoid inefficiency. Assign as a graded problem set.
    Problem Set
    Due by Su, 04.23.06, 11:45PM
    16 Points/Graded  


Week 14 (04.24.06-04.30.06)
  1. Preparing for the Tragedy of the Commons Experiment
    Prepares students for the Tragedy of the Commons experiment. Assign as a graded problem set with a due date before the beginning of the experiment.
    Problem Set
    Not offered
  2. Tragedy of the Commons: Experiment
    Illustrates the inefficiency of resources that are not priced and mechanisms such as gifts or auctions of rights that can solve the inefficiency. Also shows the efficiency and distributional effects of various government policies.
    Experiment
    Not offered
  3. Tragedy of the Commons: Analysis 
    Analysis of the results from the Tragedy of Commons experiment. Emphasis on understanding property rights, efficiency, distribution, and auctions. Applies these concepts to radio-frequency spectrum and carbon dioxide emissions.
    Reading
    Not offered

  4. Fishing and Hunting 
    Reinforces concepts learned in the Tragedy of the Commons experiment.
    Problem Set
    Due by Su, 04.30.06, 11:45PM
    10 Points/Graded  
  5. Externalities 
    Definition and application of the concept of an externality, applying the Coase Theorem.
    Problem Set
    Due by Su, 04.30.06, 11:45PM
    19 Points/Practice  
  6. Externalities 
    Definition and application of the concept of an externality, applying the Coase Theorem.
    Problem Set
    Due by Su, 04.30.06, 11:45PM
    19 Points/Graded  
  7. Externalities and the Environment I 
    Definition and use of the concepts of negative and positive externalities and marginal private and social benefits and costs.
    Problem Set
    Due by Su,04.30.06, 11:45PM
    13 Points/Practice  
  8. Externalities and the Environment II 
    Illustrates the effects of regulation and property rights on firms' decisions about pollution.
    Problem Set
    Due by Su, 04.30.06, 11:45PM
    13 Points/Graded  
  9. Regulation of Sulfur Dioxide Emissions I 
    Examination of the effects of regulation of sulfur dioxide pollution caused by electricity generation on marginal social and private costs and benefits, production and consumption, and use of pollution-reduction methods.
    Problem Set
    Due by Su, 04.30.06, 11:45PM
    21 Points/Practice  
  10. Regulation of Sulfur Dioxide Emissions I 
    Analyzes negative externalities in the electricity-generation industry by focusing on the emission of sulfur dioxide. Compares the socially optimal price and output with the outcomes in an unregulated free market. Considers alternative approaches to reducing waste products and compares their relative cost-effectiveness. Prepares students for the accompanying graded problem set.
    Problem Set
    Due by Su, 04.30.06, 11:45PM
    21 Points/Graded  
  11. Regulation of Sulfur Dioxide Emissions II 
    Tests understanding of the effects of regulation of sulfur dioxide pollution caused by electricity generation on marginal social and private costs and benefits, production and consumption, and use of pollution-reduction methods.
    Problem Set
    Due by Su, 04.30.06, 11:45PM
    10 Points/Graded  
  12. Protecting Wildlife 
    Over the last century, farmers have used technology to revolutionize the productivity of farmland: we can now feed many more people with much less land. Despite huge improvements in the use of sonar, nets, and boats, fishing seems to be going in the opposite direction. The catch of many types of fish from the world's oceans has been falling.
    News Analysis
    Due by Su, 04.30.06, 11:45PM
    4 Points/Graded  
  13. Market Solutions to Pollution 
    The new Chicago Climate Exchange, which creates and trades credits in greenhouse gases, is similar to the sulfur dioxide allowance program established by the U.S. Congress. Both programs build new markets to limit pollution at the lowest cost and create incentives to develop better and cheaper ways to decrease pollution.
    News Analysis
    Due by Su, 04.30.06, 11:45PM
    4 Points/Graded  


Week 14 (04.24.06-04.30.06)
  1. International Trade I 
    This practice problem set provides an overview of trade theory. It uses the production possibilities model to illustrate gains from trade and to generate import demand and export supply functions. It uses market models to unravel the effects of trade barriers. Though a case for protection is presented, the presentation is obviously biased in favor of free trade.
    Problem Set
    Due by Su, 04.30.06, 11:45PM
    17 Points/Practice  
  2. International Trade II 
    Tests understanding of international trade, including comparative advantage, supply and demand of imports and exports, and trade barriers.
    Problem Set
    Due by Su, 04.30.06, 11:45PM
    11 Points/Graded  
  3. American Furniture Made in China -- Consumer Bargains vs U.S. Job Losses 
    Assumes that students understand the concept of consumer surplus. Uses it to calculate the gains to consumers from furniture imports. Also assumes that they know that a less elastic demand curve has a steeper slope. (No elasticity calculations required.) Using reasonable numbers, shows that the gains to consumers are much larger than the losses imposed on workers who lose jobs in the furniture industry.
    News Analysis
    Due by Su,04.30.06, 11:45PM
    7 Points/Graded  
  4. Do Cheap U.S. Corn Exports Impoverish Mexico's Farmers? 
    Do cheap, subsidized U.S. corn exports impoverish Mexico's farmers? The article gives two simple, but opposing, answers to this question. The article does not provide enough information to choose between the two opposing answers. But we can use economics to examine the arguments offered in support of each answer.
    News Analysis
    Due by Su,04.30.06, 11:45PM
    9 Points/Graded